Pride Toronto has confirmed the loss of two high-profile corporate sponsors under the cloud of an anti-diversity, equity and inclusion (DEI) backlash, a situation that has the head of the 2SLGBTQI+ festival concerned.
At the same time, two other sponsors have significantly reduced their contributions to the well-known event that draws millions to the city every year.
Executive director Kojo Modeste, in unveiling the theme and sponsor list of Pride 2025 this week, confirmed that apparel and footwear maker Adidas declined to renew its sponsorship.
Earlier this year, Nissan Canada pulled its funding because of a “re-evaluation” of its marketing and media initiatives.
“We’re committed to our program lineup, our festival is fully planned out, so we are ready to go,” Modeste said. “We know there is going to be a shortfall and I’m working with the board to address those pieces.”
Several American companies, including Meta, Google and Walmart, have been pulling back DEI efforts aimed at reducing barriers for marginalized groups. The movement has been growing since January, when U.S. President Donald Trump issued an executive order banning such programs in the U.S. government.
Pride Toronto has also lost two “gold” sponsors, Modeste said, resulting in a significant drop in sponsorship revenue. Sponsors at the gold level commit to contributing at least $150,000 in cash and in-kind goods.
The Abnormal Beauty Company, owner of the skin care brand The Ordinary, had threatened to pull funding completely, but instead stepped its support down from a gold-level sponsor to a lower sponsorship category, Modeste added.
Modeste declined to comment on whether The Abnormal Beauty Company lowered its funding due to the anti-DEI backlash, but said “I’m grateful that they’re still supporting us.”
Neither Adidas nor The Abnormal Beauty Company, which is now owned by Estée Lauder, responded to several requests for comment by the Star. It remains unclear whether their decisions were related to the anti-DEI movement south of the border.
Pride Toronto’s 2025 Pride Guide shows that Tim Hortons also lowered its contribution amount. It went from being a “gold” sponsor to a “bronze” sponsor this year. The coffee and doughnut chain did not immediately respond to the Star’s request for comment.
“We believe that a lot of what we saw in the U.S. has impacted us,” said Modeste. “But we know that Canadian values are way more than that, and we believe that Canadian values will stand and will prevail.”
The worry is that anti-DEI sentiments will continue to make it harder for Pride organizations across North America to secure funding from corporations operating on both sides of the border, as some distance themselves from social causes, Modeste added.
Back in February, Pride Toronto told the Star it would be reducing the number of events and stages at Pride 2025 following the loss of corporate sponsorships. At the time, Modeste did not reveal the names of the three sponsors it was losing, hoping to persuade them to resume funding.
Nissan Canada, which was a “gold” sponsor of the festival in 2024, said its decision to withdraw funding was based on a budget evaluation, and not on claims by anti-DEI influencer Robby Starbuck, who alleged the carmaker had committed to stop funding Pride events, such as San Francisco’s festival.
The Abnormal Beauty Company was also a “gold” sponsor last year. It is now a “rainbow” sponsor, meaning that “there is flexibility on what they can provide,” according to Pride Toronto spokesperson Nipuni Dhanawardana, who noted the company is still contributing both cash and in-kind donations this year.
Adidas was a “silver” sponsor, contributing more than $100,000 in cash and in-kind goods.
Modeste said that since the news of the sponsorship withdrawals in February, four new Toronto-based organizations and two unions have stepped up as sponsors, but the festival is still facing a funding shortfall.
Pride Toronto is introducing a program this year where festivalgoers can make donations.
“We’ll continue to seek sponsorship right up until the festival weekend,” added Modeste.
With files from Asma Sahebzada.
